**Summary:**
In response to Lok Sabha Unstarred Question No. 2679 on August 5, 2025, the Ministry of Commerce and Industry addressed inquiries regarding the proposed India-United States Free Trade Agreement (FTA). The government confirmed active engagement in discussions with the United States on a Bilateral Trade Agreement (BTA), initiated in March 2025, aimed at expanding trade and investment and deepening the India-US trade relationship to promote growth that ensures fairness, national security and job creation. Five rounds of negotiations have occurred, with the most recent held in Washington, USA, from July 14-18, 2025.
The government stated that to safeguard the interests of farmers and the domestic industry, international trade negotiations allow for the inclusion of sensitive, negative, or exclusion lists/categories of goods on which limited or no tariff concessions are granted. The response also noted that trade remedial measures, such as antidumping and safeguards on imports, are available to address import surges and injury to domestic industries, within mutually agreed-upon periods under FTAs. The Minister of State in the Ministry of Commerce and Industry, Shri Jitin Prasada, provided the response.
Key Entities Referenced
India-US Free Trade Agreement: A proposed free trade agreement between India and the United States, aimed at expanding trade and investment.
United States: A country engaged in trade negotiations with India regarding the proposed India-US Free Trade Agreement.
SHRI KODIKUNNIL SURESH: Member of LOK SABHA who raised questions regarding the India-US Free Trade Agreement.
Ministry of Commerce and Industry: The Indian government ministry responsible for commerce and industry, involved in the India-US Free Trade Agreement negotiations.
Indo-US Free Trade Agreement: Alternative name to India-US Free Trade Agreement
SHRI JITIN PRASADA: Minister of State in the Ministry of Commerce and Industry, who answered the questions regarding the India-US Free Trade Agreement.
IndiaUSA Bilateral Trade Agreement: Another name to India-US Free Trade Agreement
Washington, USA: The city and country where the last round of India-US Bilateral Trade Agreement negotiations was held.
GOVERNMENT OF INDIA
MINISTRY OF COMMERCE AND INDUSTRY
DEPARTMENT OF COMMERCE
LOK SABHA
UNSTARRED QUESTION NO. 2679
ANSWERED ON 05/08/2025
INDIA-US FREE TRADE AGREEMENT
2679. SHRI KODIKUNNIL SURESH:
Will the Minister of COMMERCE AND INDUSTRY (वाणिज्य एवं उद्योग मंत्री) be pleased to
state:
(a) whether the Government is engaged in negotiations with the United States regarding
a proposed Indo-US Free Trade Agreement (FTA) and if so, the details thereof along
with the present status of such discussions;
(b) whether the Government has conducted any assessment on the potential negative
impact of the proposed FTA on lndia's agricultural sector, particularly on small and
marginal farmers, if so, the details thereof;
(c) whether concerns have been raised by the State Governments and stakeholders
about the influx of subsidized agricultural imports and its effect on local markets and
farmer incomes, if so, the details thereof;
(d) the steps the Government is taking to ensure that agricultural interests of the States
are protected during such international trade negotiations; and
(e) whether the Government will commit to excluding sensitive agricultural commodities
from tariff reductions or market access under any proposed agreement and if so, the
details thereof?
ANSWER
वाणिज्य और उद्योग मंत्रालय में राज्य मंत्री (श्री णिणिन प्रसाद)
THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY
(SHRI JITIN PRASADA)
(a) to (c) Government of India is actively involved in the discussions on the India-USA
Bilateral Trade Agreement (BTA) with the Government of the United States with the aim to
expand trade and investment and deepening the India-US trade relationship to promote
growth that ensures fairness, national security and job creation. India US bilateral Trade
Agreement negotiations were launched in March 2025. Five rounds of negotiations have
been held, the last being from July 14-18th, 2025 at Washington, USA.
(d) to (e) To safeguard the interests of farmers and the domestic industry, international trade
negotiations allow for the inclusion of sensitive, negative, or exclusion lists—categories of
goods on which limited or no tariff concessions are granted. In addition, in case of surge in
imports and injury to the domestic industry, a country is allowed to take recourse to trade
remedial measures such as anti-dumping and safeguards on imports within the periods as
mutually agreed to by the parties under FTAs.
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